The most exciting part of this Texas startup funding roundup is that Houston brought in more dollars than Dallas. Getty Images

When it comes to startup funding, Texas saw only a small jump in startup investments made, according to Crunchbase. However, when you look at funds coming into Houston companies, the Bayou City's numbers soared.

Houston raked in $251 million of the state's total $817.9 million for the second quarter. Last quarter, the city posted a mere $44.7 million of investment into local startups, which was previously a huge drop from the $121.4 million reported in Q4 2018, according to Crunchbase.

The state's VC activity only increased by less than $10 million, with both Austin and Dallas taking huge hits following their strong starts in Q1. VCs invested $411.11 million into Austin startups in Q2, which is a 19 percent drop from Q1's $493.18 million, Crunchbase's Mary Ann Azevedo reports. Dallas also saw a drop of around $100 million in investments between quarters. Dallas startups only brought in $148.5 million in Q2 compared to $245.4 million in Q1.

Chart via news.crunchbase.com

Houston's biggest deal for the quarter was AlloVir's $120 million Series B, which closed in May. The biotech company founded at Baylor's Center for Cell and Gene Therapy is currently in clinical trials for its immunotherapy technology and also announced with the round closing that it joined the ElevateBio — a Boston-based organization that combines a group of cell and gene therapy companies — portfolio.

Here are some other Houston startup deals that closed in Q2. (Note: Not all of these deals are necessarily included in Crunchbase's report.)

Houston VC deals in April:

  • Innovapptive, a software-as-a-service company with clients in industrial industries, closed on a $16.3 million Series A investment. Read more.
  • OAG Analytics, which uses artificial intelligence in the oil and gas industry, has closed its second round of strategic funding. The exact amount of the raise was not disclosed by OAG, but according to a Form D filing, the company expressed that it was raising $8.72 million in this round. Read more.

Houston VC deals in May:

  • Data Gumbo Corp., a blockchain-as-a-service company, closed on a $6 million Series A round. Read more.
  • Information technology automation and management company, Liongard, closed its Series A round at $4.5 million. Read more.
  • Tachyus, the data-driven software company has closed its Series B fundraising round at $15 million. Read more.
  • Fast-growing chemicals manufacturer, Solugen Inc., the only producer of bio-based peroxide solutions, announced that its $32 million Series B funding round has closed. Read more.

Houston VC deals in June: 

  • Following a $20 million commitment from Sanford Health, regenerative medicine and cell therapy company, InGeneron Inc., has extended its Series D round to $43 million. Read more.
  • Iownit Capital and Markets Inc. announced that it closed a $4.5 Seed round of funding. Read more.


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Houston researcher builds radar to make self-driving cars safer

eyes on the road

A Rice University researcher is giving autonomous vehicles an “extra set of eyes.”

Current autonomous vehicles (AVs) can have an incomplete view of their surroundings, and challenges like pedestrian movement, low-light conditions and adverse weather only compound these visibility limitations.

Kun Woo Cho, a postdoctoral researcher in the lab of Rice professor of electrical and computer engineering Ashutosh Sabharwal, has developed EyeDAR to help address such issues and enhance the vehicles’ sensing accuracy. Her research was supported in part by the National Science Foundation.

The EyeDAR is an orange-sized, low-power, millimeter-wave radar that could be placed at streetlights and intersections. Its design was inspired by that of the human eye. Researchers envision that the low-cost sensors could help ensure that AVs always pick up on emergent obstacles, even when the vehicles are not within proper range for their onboard sensors and when visibility is limited.

“Current automotive sensor systems like cameras and lidar struggle with poor visibility such as you would encounter due to rain or fog or in low-lighting conditions,” Cho said in a news release. “Radar, on the other hand, operates reliably in all weather and lighting conditions and can even see through obstacles.”

Signals from a typical radar system scatter when they encounter an obstacle. Some of the signal is reflected back to the source, but most of it is often lost. In the case of AVs, this means that "pedestrians emerging from behind large vehicles, cars creeping forward at intersections or cyclists approaching at odd angles can easily go unnoticed," according to Rice.

EyeDAR, however, works to capture lost radar reflections, determine their direction and report them back to the AV in a sequence of 0s and 1s.

“Like blinking Morse code,” Cho added. “EyeDAR is a talking sensor⎯it is a first instance of integrating radar sensing and communication functionality in a single design.”

After testing, EyeDAR was able to resolve target directions 200 times faster than conventional radar designs.

While EyeDAR currently targets risks associated with AVs, particularly in high-traffic urban areas, researchers also believe the technology behind it could complement artificial intelligence efforts and be integrated into robots, drones and wearable platforms.

“EyeDAR is an example of what I like to call ‘analog computing,’” Cho added in the release. “Over the past two decades, people have been focusing on the digital and software side of computation, and the analog, hardware side has been lagging behind. I want to explore this overlooked analog design space.”

12 winners named at CERAWeek clean tech pitch competition in Houston

top teams

Twelve teams from around the country, including several from Houston, took home top honors at this year's Energy Venture Day and Pitch Competition at CERAWeek.

The fast-paced event, held March 25, put on by Rice Alliance, Houston Energy Transition Initiative and TEX-E, invited 36 industry startups and five Texas-based student teams focused on driving efficiency and advancements in the energy transition to present 3.5-minute pitches before investors and industry partners during CERAWeek's Agora program.

The competition is a qualifying event for the Startup World Cup, where teams compete for a $1 million investment prize.

PolyJoule won in the Track C competition and was named the overall winner of the pitch event. The Boston-based company will go on to compete in the Startup World Cup held this fall in San Francisco.

PolyJoule was spun out of MIT and is developing conductive polymer battery technology for energy storage.

Rice University's Resonant Thermal Systems won the second-place prize and $15,000 in the student track, known as TEX-E. The team's STREED solution converts high-salinity water into fresh water while recovering valuable minerals.

Teams from the University of Texas won first and second place in the TEX-E competition, bringing home $25,000 and $10,000, respectively. The student winners were:

Companies that pitched in the three industry tracts competed for non-monetary awards. Here are the companies named "most-promising" by the judges:

Track A | Industrial Efficiency & Decarbonization

Track B | Advanced Manufacturing, Materials, & Other Advanced Technologies

  • First: Licube, based in Houston
  • Second: ZettaJoule, based in Houston and Maryland
  • Third: Oleo

Track C | Innovations for Traditional Energy, Electricity, & the Grid

The teams at this year's Energy Venture Day have collectively raised $707 million in funding, according to Rice. They represent six countries and 12 states. See the full list of companies and investor groups that participated here.

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This article originally appeared on our sister site, EnergyCapitalHTX.com.